Property Investors Push for Incentives to Spur County Living and Investment

-Press Release

24/6/13: Major property investors are taking confidence that Kenya’s new government will come up with policies that will unlock the full potential of the real estate in the counties.

Citing the government manifesto to devolve the responsibility of housing to counties, the property investors now want the government to come up with a policy that will set forth release of idle land to ease development of county housing in the wake of the new dispensation.

Ark Consultant’s Director Reginald Okumu revealed that approximately 70 percent of land in the country belongs to the government with religious and non-governmental institutions holding close to 15 percent posing a land hurdle for investors with an eye in investing in the counties.

“With the expected opening up of the counties, there is clearly going to be huge demand for housing in the counties for offices, house for staff taking up jobs in the counties and residential houses for Kenyans who view the county as the next investment hub,” said Okumu.

And added: “Lack of land for development will limit this growth of real estate in the county If nothing is done.

He was speaking at the official closing of the four-day 11th Property and Home Living Expo 2013, at the Sarit Centre. The exhibition focused on real estate opportunities and development in counties attracted county governments and property investors showcasing investment opportunities.

Jawad Jaffer, the exhibition organizer reiterated saying the greatest challenge property investors experience in county investment is lack of enough land for construction, a factor attributable to the continued high cost of housing.

“For a 300,000 national housing units demand to be met with a supply of 50,000 units, you expect land resource to shoot up. The government has the answer to the housing problem by availing land and other incentives to the market,” he said.

India's Richest Man Buys Sh2.9Bln Land in Nairobi

India's richest person Mukesh Ambani has acquired 10 prime land slots in Nairobi worth Sh2.9 billion ($33.9 million), in a move geared at increasing his real estate investment in the capital.

Ambani who was recently ranked 22nd in Forbes' Billionaires list is seeking to use the land for commercial and residential property development through his companies Reliance Industries and Delta Corp East Africa.